Toronto, Ontario — In this week’s Tuesday Ticker, we cover acquisitions aplenty as J.D. Power completes an interesting deal to improve its offerings and PPG acquires a pavement paint manufacturer. Plus, a Calgary, Alta.-based company creating electric vehicle components goes public on the stock market.
Acquiring analytics
Data analytics and consumer intelligence firm J.D. Power has completed its purchase of ALG from TrueCar Inc., allowing the company to “broaden its vision of automotive residual value forecasting.”
ALG offers automotive residual values and analytical data products, as well as consulting services for automotive manufacturers, finance companies and fleet groups. J.D. Power says the acquisition will be especially important as the industry prepares to launch a wave of new EV models and pushes toward increased vehicle automation and other emerging technologies.
“As the automotive industry continues to face several technological, environmental and economic factors, the significance of what ALG brings to J.D. Power data and analytics capabilities provides additive value to our clients,” said Dave Habiger, president and CEO, J.D. Power. “The industry is about to experience a product shift, unlike anything it’s ever seen before with new EV models and other new technologies quickly gaining adoption over the next several years and beyond. Having ALG’s expertise in forward-looking residual value forecasting will enable us to provide dynamic new product offerings that focus on new vehicle technologies and retail channels.”
The ALG acquisition follows closely on the heels of J.D. Power’s recent merger with Autodata Solutions to create an industry-leading provider of new and pre-owned automobile transactional data, valuation tools, vehicle feature information and consumer analytics to the automotive industry.
PPG’s on the road
PPG announced today that it has reached a definitive agreement to acquire Ennis-Flint, a global manufacturer of coatings with a broad portfolio of pavement marking products, including paint and thermoplastics.
The company says the acquisition will further expand PPG’s product offering as well as opportunities in the development of mobility technology solutions—especially as road markings become increasingly important in the development of autonomous vehicles.
PPG formed a mobility focus team in 2017 to develop mobility technologies and innovative technical solutions that provide increased functionality and solve new and unique requirements for electric, hybrid and autonomous vehicles.
PPG’s current Mobility-related products include battery-specific coatings that deliver enhanced safety and performance, autonomous vehicle coatings that improve vehicle and infrastructure visibility, and interior coatings that increase surface functionality and durability.
“We are excited to join the global PPG family,” added Matt Soule, president and CEO of Ennis-Flint. “Our products and technologies are excellent complements to PPG’s current product offering, and the ability to leverage PPG’s world-class innovation and broad geographical footprint will provide more growth opportunities for our products and employees in the future.”
PPG will provide additional details relating to the business acquisition, including acquisition-related financial impacts, during the company’s fourth-quarter earnings conference call in January 2021.
Exro offerings
Exro Technologies, a Calgary, Alta.-based company currently developing control products to improve efficiency and performance in electric motors and powertrains is committed to raising between $30 million and $36.5 million through a public offering of its shares.
The company says it has priced its shares at $3.25 each.
The offering is to be conducted on a “best efforts” basis by a syndicate led by Raymond James Ltd. and Gravitas Securities Inc., with an overallotment option of up to 15 percent.
The news comes a few days after Exro reported the engineering validation of its 100-volt coil driver, which it said was a “key milestone” for its entry into supplying commercial products to manufacturers in the electric car market. The company also says it is on schedule to deliver a prototype to Potencia Industrial, S.A. DE C.V., a Mexican manufacturer of electric motors and generators.
The proceeds from the offering are to be used for research and development of the company’s battery management system and electric vehicle programs, as well as other corporate purposes.
Exro says its coil driver controller makes electric motors “smarter” by enabling multiple power settings in a single motor. The company says it can potentially be used in a wide variety of applications including electric bicycles, buses, generators, appliances, elevators and fans.
